Surveys are often dismissed as a waste of money. But they can save you money and a lot of heartache in the long run, says Gordon Robinson.

Surveys are often dismissed as a waste of money. But they can save you money and a lot of heartache in the long run, says Gordon Robinson.

Saving money is probably uppermost in every homebuyer's mind, but the temptation to stint on the survey may cost you dearly in the future.

Any buyer contemplating a substantial purchase should take advice when buying something expensive.

Generally, a property will be the largest single purchase a person will make, therefore it makes good sense to find out more before committing to it.

There are three types of reports available - the mortgage valuation, the homebuyer survey and valuation and the more detailed building survey, formerly known as a structural survey.

If you are buying a home with the help of a mortgage, the lender will obtain a mortgage valuation report. The primary purpose of this is to confirm to the lender if a property offers suitable security for the loan. The valuation, although carried out by a qualified valuer and often paid for by you, is intended to satisfy the requirements of the lender rather than the buyer.

While the valuer will take into account the general condition of the building, the valuation will be based only on a brief and limited inspection of the property.

Often it is not sufficiently detailed to provide the buyer with enough information to base a decision on whether or not to continue with the purchase, particularly if you are looking to purchase an older property.

The homebuyer survey and valuation is a report based on a standard format drawn up by the Royal Institution of Chartered Surveyors. It gives the prospective purchaser information on the general condition of the property including any significant factors likely to affect materially the value of the property and the value of the property in the open market.

A simple and straightforward layout, the survey is based on a visual inspection of as much of the interior and exterior of the building as is accessible with safety and without undue difficulty. Including roof voids, flat roofs accessible with a 3m (10 ft) ladder, outbuildings, site boundaries, etc., an overall impression of the services will also be given.

This report is intended for properties which are conventional in type and construction and apparently in reasonable condition and the report fee will depend on the size and type of the property, its location and value. It is likely to cost from &#xA3;275.

A building survey is an investigation and assessment of the construction and condition of a building, based on a detailed inspection in as much depth as is possible without damaging the building or contents.

A full building survey can be between 10 and 20 pages long and give a detailed analysis of the structure, highlighting areas that need attention or further examination.

The exact extent and style of the inspection is subject to specific agreement with the individual surveyor. It may include specialist reports such as services and drains, including guidance on maintenance and remedial works and often detailed comment on individual defects.

A building survey is essential when purchasing properties which are more than 30 years old, those with unusual characteristics or of unusual construction. Because of the individual nature of a building survey, the fee will vary according to the type, size, value and location of the property. It is likely to cost from &#xA3;500.

Regardless of whether the house is old or new, a more detailed report than a mortgage valuation building survey is worthwhile.

It can highlight unexpected problems before rather than after you move in, so you know exactly what you are letting yourself in for. It could literally save you thousands of pounds.

* Gordon Robinson is director and chief executive of the Mercantile Building Society, tel (0500) 295 500 or log on to www.mercantile-bs.co.uk